Shipping organisations have welcomed the “growing momentum” for a US$5 billion R&D Fund for shipping at MEPC 76, but called on governments to “act in line with their climate commitments” and “not waste more time” in moving forward with decisive action to support the decarbonisation of the industry, according to the latest Marine Bunker Exchange (MABUX) report.
Baltic and International Maritime Council (BIMCO), Cruise Lines International Association (CLIA), INTERCARGO, INTERFERRY, International Chamber of Shipping, INTERTANKO, IPTA and World Shipping Council noted that the world’s governments had agreed to continue work on the IMO-supervised R&D Fund programme, to be led by a new International Maritime Research and Development Board (IMRB).
However, they also expressed their disappointment that “yet again we must wait for the next meeting before we can get going”. The US$5 billion R&D Fund programme is designed to accelerate the development and introduction of zero-emission technologies and fuels for maritime transport.
Meanwhile, MABUX has announced that during week 25, its World Bunker Index continued a slight upward trend with the 380 HSFO index increasing to US$452.63/MT, the VLSFO index rising to US$556.62/MT, while the MGO index increasing to US$649.15/MT.
At the same time, MABUX Amsterdam Rotterdam Antwerp (ARA) LNG Bunker Index, which is the average price of LNG as a marine fuel in the ARA region, has increased by US$39.28 during the week, reaching US$670.35/MT.
Additionally, the average value of LNG Bunker Index has moderately decreased by US$0.67 with the average price for MGO LS in Rotterdam rising by US$4.67 during the same period. Meantime, the average price difference between bunker LNG and MGO LS in Rotterdam has decreased slightly and is at US$51.39.
Furthermore, the average weekly Global Scrubber Spread (SS) – the difference in price between 380 HSFO and VLSFO – has fallen by US$1.38 and has reached US$103.30. The average value of SS Spread in Rotterdam also decreased by US$5.67 and reached US$108.33.
Moreover, the correlation of MABUX MBP Index (Market Bunker Prices) vs MABUX DBP Index (MABUX Digital Benchmark) in the four global largest hubs during the past week has shown that 380 HSFO fuel remained undervalued in all four selected ports ranging from US$30 in Houston US$21 in Fujairah to US$39 in Rotterdam and US$50 in Singapore.
In addition, VLSFO fuel, according to the MABUX DBP Index, was also underestimated in all four selected ports. As for MGO LS, MABUX DBP Index has also registered an undercharge of this grade at all selected ports ranging from US$20 to US$61 in Singapore.
